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  • You Can Afford To Hold Cash [View article]
    Cash has optionality - if the market declines the value of the cash increases directly in proportion to what can be purchased.

    The value of cash does not decline with a market decline.

    The opportunity cost of cash is really the argument for not holding it - what you could have earned!

    James Montier of GMO wrote an awesome whitepaper on this subject in 2011 and it is still relevant.

    A Value Investor’s Perspective on Tail Risk Protection:
    An Ode to the Joy of Cash
    James Montier
    Jun 27, 2015. 12:28 PM | Likes Like |Link to Comment
  • Corporate Profits [View news story]
    This seems like a big deal. Isn't this the "E" in the price to earnings multiple?

    Prices go up and profits go down - paying more for less.
    Jun 24, 2015. 09:13 AM | Likes Like |Link to Comment
  • Tesla Motors clarifies on Model 3 launch date [View news story]
    That's interesting. Sort of kills the news cycle on TSLA on SA today ;)
    Jun 22, 2015. 12:22 PM | 10 Likes Like |Link to Comment
  • Tesla Model 3 Delay? What Will Be The Next Shoe To Drop? [View article]
    “In the short term the market is a popularity contest; in the long term it is a weighing machine.”

    Read more:
    Jun 22, 2015. 10:55 AM | 4 Likes Like |Link to Comment
  • Tesla Motors Model 3 launch pushed back to 2018 [View news story]
    Funny how the bulls always accuse bearish people of being delusional yet they still cling to the notion that somehow any news is always good news but a later launch date for Model 3 can't possibly be good news, can it?

    The contrary news would be an accelerated launch date in which case the bulls would be saying how great that is and they would be right.

    So to be intellectually honest you really have to sometimes accept reality even when you don't want to - see the world as it is rather than as you want it to be.
    Jun 22, 2015. 10:34 AM | 7 Likes Like |Link to Comment
  • Tesla Motors Model 3 launch pushed back to 2018 [View news story]

    Well when you've perfected a business model that allows you to sell a dollar for 50 cents and get rewarded for doing it, why would you stop?

    Perhaps the stock will now go up as a result now that the burn-rate could fall ;)
    Jun 22, 2015. 10:31 AM | 16 Likes Like |Link to Comment
  • Uber Highlights Just How Aggressive Tesla's Revolver Is [View article]

    How about a scenario where this revolver is just the stopgap to keep the company from going under, while they get ready for the secondary equity offering?

    They raise a bunch of money at a relatively high price point for the stock and as a result the dilution for other shareholders is swallowed without complaint and too much impact.

    They then use the proceeds to renegotiate or retire this onerous credit facility. There seems to be an appetite for the stock at this price point so a secondary that sells 2-3% of the company could raise a huge amount of money for them.

    Of course this would probably wipe out my short position (Puts) but it does make sense and it would be unexpected. Also explains the price movement and the support from the I-banks who want a piece of it.
    Jun 20, 2015. 03:55 PM | 3 Likes Like |Link to Comment
  • Investors rush out of fixed-income, and into stocks [View news story]

    Which CEF's do you like now?

    Jun 19, 2015. 01:25 PM | Likes Like |Link to Comment
  • Tesla spotlight falls on Model 3 lineup and credit ratings [View news story]
    Not just one piece of vaporware but now a whole family of it!

    What happens when they run out of rabbits?

    Jun 15, 2015. 03:40 PM | 14 Likes Like |Link to Comment
  • Why Tesla's Competition Does Not Have A Lead Over Tesla [View article]

    That was an awesome link - 47 pages since June 9th. Who the hell would want to own a luxury vehicle where the manufacturer has the power to do the following according to one of the posters AmpedRealtor on the forum:

    "Maybe this is why Tesla may have been toying with throttling a few months ago.

    Perhaps after Tesla sends one of these friendly notes, if the owner's behavior doesn't change, Tesla may throttle that person's car via software as a deterrent. Maybe?"

    The idea that an owner would believe this is possible is actually bizarre. What if it's true?
    Jun 14, 2015. 11:57 AM | 7 Likes Like |Link to Comment
  • Business inventories rise more than expected in April [View news story]
    "Inventory/Sales ratio at 1.36."

    Something to watch as it creeps up. What if demand doesn't follow?
    Jun 11, 2015. 10:21 AM | Likes Like |Link to Comment
  • Tesla CFO Ahuja retiring; Model X deliveries in 3-4 months [View news story]

    Your own information shows the decline even in the truncated period you are showing and as usual you ignore my reference point of Oct 31st, 2014.

    I have no idea why are you even disagreeing here other than being disagreeable.

    You would deny reality if you could but you can't.
    Jun 10, 2015. 10:11 PM | 2 Likes Like |Link to Comment
  • Tesla's CFO Resigns: A Sign Of Rough Waters Ahead? [View article]
    "To put it another way, there's no real scenario we can think of where Tesla is going to take things to the next level supportive of their valuation in the near term, where the CFO is also going to want to call it quits; not for personal reasons or urgency, but because it's time to "retire". We think this is called cashing in your chips when you're at the top."

    The only difference between "retire" and "resign" is PR spin.
    Jun 10, 2015. 04:41 PM | 5 Likes Like |Link to Comment
  • Tesla CFO Ahuja retiring; Model X deliveries in 3-4 months [View news story]

    "Ironically it seems the shorts are partially responsible for this stock current pricing"

    Affirms what you are saying. Short interest hit a peak recently and is starting to recede but still substantially higher than it was at its low point on Oct 31st, 2014. The inverse correlation between short interest and stock price seems particularly strong on TSLA.

    If we get an accelerating decline in short interest then I think the stock will follow as well.
    Jun 10, 2015. 02:21 PM | Likes Like |Link to Comment
  • Tesla CFO Ahuja retiring; Model X deliveries in 3-4 months [View news story]
    Retiring at the age of 51?

    Interesting. Easier to sell stock when you are not an insider. Also I guess the hopes of hitting the auto delivery numbers are remote at best.
    Jun 9, 2015. 06:20 PM | 15 Likes Like |Link to Comment